File No. 756

General Assembly

February Session, 2014

(Reprint of File No. 311)

House Bill No. 5559

As Amended by House Amendment

Schedule "A"

Approved by the Legislative Commissioner

May 3, 2014

AN ACT CONCERNING THE RECOMMENDATIONS OF THE UNIFORM REGIONAL SCHOOL CALENDAR TASK FORCE, LICENSURE EXEMPTIONS FOR CERTAIN AFTER SCHOOL PROGRAMS AND EXPANDING OPPORTUNITIES UNDER THE SUBSIDIZED TRAINING AND EMPLOYMENT PROGRAM.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Subsections (b) and (c) of section 10-66q of the 2014 supplement to the general statutes are repealed and the following is substituted in lieu thereof (Effective from passage):

(b)For the school [year]years commencing July 1, 2014, and July 1, 2015, a local or regional board of education may adopt the uniform regional school calendar developed and approved pursuant to subsection (a) of this section.

(c) [For](1) Except as provided in subdivision (2) of this subsection, for the school year commencing July 1, [2015]2016, and each school year thereafter, each local and regional board of education shall use the uniform regional school calendar developed and approved pursuant to subsection (a) of this section.

(2) A local or regional board of education may delay implementation of the uniform regional school calendar until the school year commencing July 1, 2017, if such board of education has an existing employee contract that makes implementation of the uniform regional school calendar impossible.

Sec. 2. Subsection (b) of section 19a-77 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):

(b)For licensing requirement purposes, child day care services shall not include such services which are:

(1)(A)Administered by a public school system, or (B) administered by a municipal agency or department;[and located in a public school building;]

(2)Administered by a private school which is in compliance with section 10-188 and is approved by the State Board of Education or is accredited by an accrediting agency recognized by the State Board of Education;

(3)Classes in music, dance, drama and art that are no longer than two hours in length; classes that teach a single skill that are no longer than two hours in length; library programs that are no longer than two hours in length; scouting; programs that offer exclusively sports activities; rehearsals; academic tutoring programs; or programs exclusively for children thirteen years of age or older;

(4)Informal arrangements among neighbors and formal or informal arrangements among relatives in their own homes, provided the relative is limited to any of the following degrees of kinship by blood or marriage to the child being cared for or to the child's parent: Child, grandchild, sibling, niece, nephew, aunt, uncle or child of one's aunt or uncle;

(5)Drop-in supplementary child care operations for educational or recreational purposes and the child receives such care infrequently where the parents are on the premises;

(6)Drop-in supplementary child care operations in retail establishments where the parents remain in the same store as the child for retail shopping, provided the drop-in supplementary child-care operation does not charge a fee and does not refer to itself as a child day care center;

(8)Religious educational activities administered by a religious institution exclusively for children whose parents or legal guardians are members of such religious institution;

(9)Administered by Solar Youth, Inc., a New Haven-based nonprofit youth development and environmental education organization, provided Solar Youth, Inc. informs the parents and legal guardians of any children enrolled in its programs that such programs are not licensed by the Department of Public Health to provide child day care services;

(10)Programs administered by organizations under contract with the Department of Social Services pursuant to section 17b-851a that promote the reduction of teenage pregnancy through the provision of services to persons who are ten to nineteen years of age, inclusive; or

(11)Administered by the Cardinal Shehan Center, a Bridgeport-based nonprofit organization that is exclusively for school age children, provided the Cardinal Shehan Center informs the parents and legal guardians of any children enrolled in its programs that such programs are not licensed by the Department of Public Health to provide child day care services.

Sec. 3. Section 31-3pp of the general statutes is repealed and the following is substituted in lieu thereof(Effective July 1, 2014):

(a) For purposes of this section:

(1)"Department" means the Labor Department;

(2)"Eligible small business" means a business that (A) employed not more than one hundred full-time employees on at least fifty per cent of its working days during the preceding twelve months, (B) has operations in Connecticut, (C) has been registered to conduct business for not less than twelve months, and (D) is in good standing with the payment of all state and local taxes;

(3)"Control", with respect to a corporation, means ownership, directly or indirectly, of stock possessing fifty per cent or more of the total combined voting power of all classes of the stock of such corporation entitled to vote. "Control", with respect to a trust, means ownership, directly or indirectly, of fifty per cent or more of the beneficial interest in the principal or income of such trust. The ownership of stock in a corporation, of a capital or profits interest in a partnership, limited liability company or association or of a beneficial interest in a trust shall be determined in accordance with the rules for constructive ownership of stock provided in Section 267(c) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as from time to time amended, other than paragraph (3) of said Section 267(c);

(4)"Related person" means (A) a corporation, limited liability company, partnership, association or trust controlled by the eligible small business, (B) an individual, corporation, limited liability company, partnership, association or trust that is in control of the eligible small business, (C) a corporation, limited liability company, partnership, association or trust controlled by an individual, corporation, limited liability company, partnership, association or trust that is in control of the eligible small business, or (D) a member of the same controlled group as the eligible small business;

(5)"Eligible small manufacturer" means an eligible small business described in sectors 31 to 33, inclusive, of the North American Industry Classification System, that employed not more than one hundred employees on at least fifty per cent of its working days during the preceding twelve months.

(b)(1)There is established within the Labor Department a Subsidized Training and Employment program for eligible small businesses and eligible small manufacturers. Said program shall provide grants to such businesses and manufacturers to subsidize, for the first one hundred eighty calendar days after a person is hired, a part of the cost of employment, including any costs related to training. No such business or manufacturer receiving a grant under this section with respect to a new employee or newly hired person may receive a second grant under this section with respect to the same new employee or newly hired person.

(2)At the discretion of the Labor Commissioner, the department may use up to four per cent of any funds allocated pursuant to section 5 of public act 11-1 of the October special session for the purpose of retaining outside consultants or the Workforce Investment Boards to operate the Subsidized Training and Employment program.

(3)In fiscal year 2013, the department may use up to four per cent of any funds allocated pursuant to section 5 of public act 11-1 of the October special session in said fiscal year for the purpose of the marketing and operation of the Subsidized Training and Employment program.

(c)(1)An eligible small business may apply to the department for a grant to subsidize on-the-job training and compensation for a new employee, where "new employee" means a person who (A) was unemployed immediately prior to employment, regardless of whether such person collected unemployment compensation benefits as a result of such unemployment, (B) is a resident of a municipality that has (i) an unemployment rate that is equal to or higher than the state unemployment rate as of September 1, 2011, or (ii) a population of eighty thousand or more, and (C) has a family income equal to or less than two hundred fifty per cent of the federal poverty level, adjusted for family size. "New employee" does not include a person who was employed in this state by a related person with respect to the eligible small business during the prior twelve months or a person employed on a temporary or seasonal basis by a retailer, as defined in section 42-371.

(2)Grants to eligible small businesses under the Subsidized Training and Employment program shall be in the following amounts: (A) For the first thirty calendar days a new employee is employed, one hundred per cent of an amount representing the hourly wage of such new employee, exclusive of any benefits, but in no event shall such amount exceed twenty dollars per hour; (B) for the thirty-first to ninetieth, inclusive, calendar days, seventy-five per cent of such amount; (C) for the ninety-first to one hundred fiftieth, inclusive, calendar days, fifty per cent of such amount; and (D) for the one hundred fifty-first to one hundred eightieth, inclusive, calendar days, twenty-five per cent of such amount. Grants shall be cancelled as of the date the new employee leaves employment with the eligible small business.

(d)(1)An eligible small manufacturer may apply to the department for a grant to be used to train and compensate persons newly hired by such manufacturer. Any training shall be provided by such manufacturer, and take place on such manufacturer's premises, but no existing formal training program shall be required. The Labor Commissioner, or said commissioner's designee, shall review and approve such manufacturer's description of the proposed training as part of the application.

(2)Grants awarded to an eligible small manufacturer pursuant to this subsection shall subsidize the costs of training and compensating each person newly hired by such manufacturer. In no event shall a grant exceed the salary of the newly hired person. Maximum amounts of each grant are: For the first full calendar month a newly hired person is employed, up to two thousand five hundred dollars; for the second month, up to two thousand four hundred dollars; for the third month, up to two thousand two hundred dollars; for the fourth month, up to two thousand dollars; for the fifth month, up to one thousand eight hundred dollars; and for the sixth month, up to one thousand six hundred dollars. No grant shall exceed a total amount of twelve thousand five hundred dollars per newly hired person. A grant may be cancelled as of the date such person leaves employment with the eligible small manufacturer.

(e) (1) An eligible small business or eligible small manufacturer may apply to the department for a grant to subsidize on-the-job training for a new apprentice, where "new apprentice" means a person who is a current student at a public or private high school, preparatory school or institution of higher education. "New apprentice" does not include a person who was employed in this state by a related person with respect to the eligible small business during the prior twelve months or a person employed on a temporary or seasonal basis by a retailer, as defined in section 42-371.

(2)Grants to eligible small businesses or eligible small manufacturers under the Subsidized Training and Employment program shall be in the following amounts: (A) For the first thirty calendar days a new apprentice is employed, one hundred per cent of an amount representing the cost of on-the-job training for a new apprentice, but in no event shall such amount exceed ten dollars per hour; (B) for the thirty-first to ninetieth, inclusive, calendar days, seventy-five per cent of such amount; (C) for the ninety-first to one hundred fiftieth, inclusive, calendar days, fifty per cent of such amount; and (D) for the one hundred fifty-first to one hundred eightieth, inclusive, calendar days, twenty-five per cent of such amount. Grants shall be cancelled as of the date the new apprentice leaves his or her apprenticeship with the eligible small business or eligible small manufacturer.

[(e)](f)Not later than July 15, 2012, and annually thereafter, and January 15, 2013, and annually thereafter, the Labor Commissioner shall provide a report, in accordance with the provisions of section 11-4a, to the joint standing committees of the General Assembly having cognizance of matters relating to finance, revenue and bonding, appropriations, commerce and labor. Said report shall include available data, for the six-month period ending on the last day of the calendar month preceding such report, on (1) the number of small businesses that participated in the Subsidized Training and Employment program established pursuant to [subsection (c)]subsections (c) and (e) of this section, and the general categories of such businesses, (2) the number of small manufacturers that participated in the Subsidized Training and Employment program established pursuant to [subsection (d)]subsections (d) and (e) of this section, and the general categories of such manufacturers, (3) the number of individuals that received employment, and (4) the most recent estimate of the number of jobs created or maintained.

[(f)](g) The Labor Commissioner may adopt regulations in accordance with the provisions of chapter 54 to carry out the provisions of this section.

This act shall take effect as follows and shall amend the following sections:

Section 1

from passage

10-66q(b) and (c)

Sec. 2

July 1, 2014

19a-77(b)

Sec. 3

July 1, 2014

31-3pp

The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose.In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.

OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 15 $

FY 16 $

Early Childhood, Off.

GF - Potential Savings

See Below

See Below

Early Childhood, Off.

GF - Revenue Loss

See Below

See Below

Municipal Impact:

Municipalities

Effect

FY 15 $

FY 16 $

Various Municipalities

Savings

See Below

See Below

Explanation

The bill delays implementation of the uniform regional school calendar by a year, and permits a school district to delay implementation for an extra year if an existing employee contract makes such implementation impossible. This is not anticipated to result in a fiscal impact, as it allows districts to maintain the status quo.

Additionally, the bill could result in savings to the Office of Early Childhood (OEC) to the extent that fewer entities are subject to child day care licensing requirements. The bill expands the definition of child day care services that are not considered as such for the purposes of licensing by removing the specification that the administering agency or department be located in a public school building.

The bill also results in a revenue loss associated with fewer entities subject to licensing fees. The child day care center fee is $500, while the group day care home fee is $250. Both fees support a four-year license. The municipal agencies or departments affected by the bill would experience a corresponding savings.

Lastly, the bill expands the Subsidized Training and Employment Program within the Department of Labor, which is funded through bond funds. As the bill does not provide additional bond funds for the expansion, this does not result in any fiscal impact.

House “A” added the provisions regarding licensing requirements and the Subsidized Training and Employment Program. The fiscal impact is described above.

The Out Years

The annualized ongoing fiscal impact identified above would continue into the future subject to inflation.

OLR Bill Analysis

HB 5559 (as amended by House "A")*

AN ACT CONCERNING A UNIFORM REGIONAL SCHOOL CALENDAR.

SUMMARY:

This bill delays for one year, from the school year starting July 1, 2015 to the year starting July 1, 2016, the requirement that each local or regional board of education adopt a uniform regional school calendar that the regional education service center (RESC) for that board developed and approved. By law, each RESC must develop a uniform school calendar by April 1, 2014 to be used by each local and regional board of education in the RESC's service region, and the calendar must be consistent with the guidelines developed under PA 13-247 (see BACKGROUND).

Furthermore, the bill gives a school board an additional year, until the school year starting July 1, 2017, to implement the uniform calendar if it has an existing employee contract that makes implementation of the uniform regional school calendar impossible. (Some contracts include specific vacation periods or professional development dates.) The bill does not indicate how it is determined that contracts make the regional calendar impossible.

The bill creates a new apprenticeship grant program under the Subsidized Training and Employment Program (STEP) to provide grants for small businesses and manufacturers to hire high school and college students.

The bill expands an existing child day care service licensing exemption to apply to any day care service that a municipal agency or department administers rather than only those located in a public school building.

It also makes conforming changes.

*House Amendment “A” adds the provisions regarding (1) the STEP new apprentice program and (2) the licensing exemption for municipally administered child day care services.

EFFECTIVE DATE: Upon passage for the uniform calendar portion and July 1, 2014 for the new apprentice program and the licensing exemption.

STEP NEW APPRENTICE PROGRAM

The bill creates a “new apprentice” grant program under the STEP to provide grants for small businesses and manufacturers to hire high school and college students. Under the STEP program, the Department of Labor (DOL) provides grants to small businesses to help offset the cost of hiring people who were previously unemployed.

Under the bill a “new apprentice” is a student at a public or private high school, preparatory school, or institution of higher education. It does not include a person employed (1) in Connecticut by a relative at an eligible small business during the previous 12 months or (2) on a temporary or seasonal basis by a retailer that sells goods primarily used for personal, family, or household purposes.

An eligible small business or manufacturer may apply to DOL for a grant to subsidize on-the-job training for a new apprentice. An eligible small business must (1) employ 100 or fewer full-time employees on at least 50% of its working days in the previous 12 months, (2) have operations and be registered in the state, and (3) be in good standing regarding all state and local taxes. An eligible small manufacturer means a business classified as a manufacturer under the North American Industry Classification System that employs 100 or fewer workers on at least 50% of its working days during the preceding 12 months.

Grant Schedule

The bill creates a grant schedule, with a maximum of $10 per hour for any apprentice, for eligible small businesses or manufacturers as shown in Table 1.

Table 1: New Apprentice Subsidy Schedule

Calendar Days Employed

Grant Amount as Percent of Employee's Training and Compensation

First 30 days

100%*

31 to 90, inclusive

75%

91 to 150, inclusive

50%

151 to 180, inclusive

25%

*Up to a maximum of $10 per hour.

Grants are cancelled when the new apprentice leaves his or her apprenticeship with the eligible small business or manufacturer.

BACKGROUND

Uniform Regional School Calendar Task Force and Guidelines

A 2013 law established a task force to develop regional uniform school calendar guidelines that had to meet the following requirements:

1. at least 180 days of sessions in a school year (as required by existing law);

2. a uniform start date;

3. uniform days for statutorily required professional development and in-service training for certified employees; and

4. up to three uniform school vacation periods during each school year, of which up to two must be one-week vacations and one must be during the summer (PA 13-247, §321).

The task force completed its report and guidelines in January 2014. The guidelines include:

1. a common start date for students of the last Wednesday in August, with a three-day flexible window before or after that Wednesday;

2. Election Day in November to be a professional development day when no students attend school; and

3. five flexible days for individual district needs.

RESCs

Each of the six RESCs in the state serves a different geographical region. The RESCs provide various services to local and regional boards of education.